Briefly: India’s defence industry produced a record $12B in ammunition and weapons during FY2022. That’s a 12% increase from the year prior.
India has been the world’s largest arms importer for over a decade, sourcing nearly half its military gear from Russia. But Russia’s invasion of Ukraine and China’s assertive style have nudged India to become more self-sufficient.
Indian policymakers are achieving that by co-producing foreign weapons at home, as well as encouraging local suppliers. In fact, India has nearly tripled the number of its defence industry permits in recent years.
Intrigue’s take: You could almost replace the words “Indian defence industry” with:
- 🇺🇸 US chip-making industry
- 🇳🇬 Nigerian fertiliser industry, or
- 🇻🇳 Vietnamese computer industry
… and the story would be much the same. The world is getting a little cray-cray, and governments everywhere are battening down the hatches.
Also worth noting:
- The US and India signed an agreement earlier this year to boost co-production of critical defence technologies.
- Though India is still a net importer of arms and ammunition, its weapons exports increased 24% in the last year.
- Total global military expenditure hit a record $2.24 trillion last year.